To amend title 38, United States Code, to provide for an increase,
effective December 1, 2011, in the rates of compensation for veterans
with service-connected disabilities and the rates of dependency and
indemnity compensation for the survivors of certain disabled veterans,
and for other purposes.

To amend title 38, United States Code, to provide for an increase,
effective December 1, 2011, in the rates of compensation for veterans
with service-connected disabilities and the rates of dependency and
indemnity compensation for the survivors of certain disabled veterans,
and for other purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Veterans' Compensation Cost-of-Living
Adjustment Act of 2011'.

SEC. 2. INCREASE IN RATES OF DISABILITY COMPENSATION AND DEPENDENCY
AND INDEMNITY COMPENSATION.

(a) Rate Adjustment- Effective on December 1, 2011, the Secretary of
Veterans Affairs shall increase, in accordance with subsection (c),
the dollar amounts in effect on November 30, 2011, for the payment of
disability compensation and dependency and indemnity compensation under
the provisions specified in subsection (b).

(b) Amounts To Be Increased- The dollar amounts to be increased pursuant
to subsection (a) are the following:

(1) WARTIME DISABILITY COMPENSATION- Each of the dollar amounts under
section 1114 of title 38, United States Code.

(2) ADDITIONAL COMPENSATION FOR DEPENDENTS- Each of the dollar amounts
under section 1115(1) of such title.

(3) CLOTHING ALLOWANCE- The dollar amount under section 1162 of such
title.

(4) DEPENDENCY AND INDEMNITY COMPENSATION TO SURVIVING SPOUSE- Each
of the dollar amounts under subsections (a) through (d) of section
1311 of such title.

(5) DEPENDENCY AND INDEMNITY COMPENSATION TO CHILDREN- Each of the
dollar amounts under sections 1313(a) and 1314 of such title.

(c) Determination of Increase-

(1) PERCENTAGE- Except as provided in paragraph (2), each dollar amount
described in subsection (b) shall be increased by the same percentage
as the percentage by which benefit amounts payable under title II
of the Social Security Act (42 U.S.C. 401 et seq.) are increased effective
December 1, 2011, as a result of a determination under section 215(i)
of such Act (42 U.S.C. 415(i)).

(2) ROUNDING- Each dollar amount increased under paragraph (1), if
not a whole dollar amount, shall be rounded to the next lower whole
dollar amount.

(d) Special Rule- The Secretary of Veterans Affairs may adjust administratively,
consistent with the increases made under subsection (a), the rates of
disability compensation payable to persons under section 10 of Public
Law 85-857 (72 Stat. 1263) who have not received compensation under
chapter 11 of title 38, United States Code.

(e) Publication of Adjusted Rates- The Secretary of Veterans Affairs
shall publish in the Federal Register the amounts specified in subsection
(b), as increased under subsection (a), not later than the date on which
the matters specified in section 215(i)(2)(D) of the Social Security
Act (42 U.S.C. 415(i)(2)(D)) are required to be published by reason
of a determination made under section 215(i) of such Act during fiscal
year 2012.